Common use of Buyback Provision Clause in Contracts

Buyback Provision. If a vehicle accepted under the Daily Rental Guaranteed Residual Program is unsold through the 90th day after acceptance, GM will transfer the vehicle from the Daily Rental Guaranteed Residual Program to the Daily Rental Acquisition Program on the 91st day, unless GM receives instructions from the DRFC to the contrary by the 89th day pursuant to the Turn In Standards and Procedures (Attachment 1B, Section VII-H – Other). Upon transfer to the Daily Rental Acquisition Program, GM will initiate payment to the DRFC owning the vehicle for the full guaranteed purchase price (less GM charges allowed under the program) within the BARS system. The DRFC will be paid in approximately 7 Business days. The DRFC will assign the title of such vehicle, or cause such title to be assigned, to GM on the 91st day after acceptance. GM will perform a weekly scan of the inventory with a run cycle to occur over the weekend to avoid mid-week program changes. If the number of vehicles in the Daily Rental Acquisition Program for any DRFC exceeds 3% of its total accepted inventory (“Excess Amount”), then GM will instruct the auctions not to transfer vehicle titles to GM for those vehicles until the DRFC has received payment from GM for those vehicles so that the Excess Amount is eliminated. Once the DRFC receives payment for those vehicles, GM will instruct the auctions to transfer title to GM for those returned vehicles. This metric (3%) will be calculated on a weekly basis concurrent with the scan of inventory.

Buyback Provision. If a vehicle Vehicle accepted under the Daily Rental Guaranteed Residual Program is unsold through the 90th day after acceptance, GM will transfer the vehicle Vehicle from the Daily Rental Guaranteed Residual Program to the Daily Rental Acquisition Program on the 91st day, unless GM receives instructions from the DRFC to the contrary by the 89th day pursuant to the Turn In Standards and Procedures (Attachment 1B, Section VII-H – Other). Upon transfer to the Daily Rental Acquisition Program, GM will initiate payment to the DRFC owning the vehicle Vehicle for the full guaranteed purchase price (less GM charges allowed under the program) within the BARS system. The DRFC will be paid in approximately 7 Business days. The DRFC will assign the title of such vehicleVehicle, or cause such title to be assigned, to GM on the 91st day after acceptance. GM will perform a weekly scan of the inventory with a run cycle to occur over the weekend to avoid mid-week program changes. If the number of vehicles Vehicles in the Daily Rental Acquisition Program for any DRFC exceeds 3% of its total accepted inventory (“Excess Amount”), then GM will instruct the auctions not to transfer vehicle Vehicle titles to GM for those vehicles these Vehicles until the DRFC has received payment from GM for those vehicles these Vehicles so that the Excess Amount is eliminated. Once the DRFC receives payment for those vehiclesthese Vehicles, GM will instruct the auctions to transfer title to GM for those these returned vehiclesVehicles. This metric (3%) will be calculated on a weekly basis concurrent with the scan of inventory.